Why so many Americans in the middle class have no savings
Video Statistics and Information
No captions available for this video.
Channel: PBS NewsHour
Views: 3,113,054
Rating: 4.5253005 out of 5
Keywords:
Id: tamC-M8TxtY
Channel Id: undefined
Length: 11min 59sec (719 seconds)
Published: Wed Jun 01 2016
Please note that this website is currently a work in progress! Lots of interesting data and statistics to come.
What an asshole.
He has a house that's worth more than my lifetime earnings. He could sell his house, buy the townhouse I'm renting (with two roommates), and have $800,000 left over. Even in it's horrible condition, 1 acre lots sell for around a million.
He sent his kids to private school and paid for their college.
His wife doesn't work.
REALLY STRUGGLING.
Before, people used to get paid a living wage and bought stuff with savings. NOw, private sector debt, aka bank loans, credit cards, are whats supporting the middle class lifestyle. But we are coming near an end. People cannot borrow anymore. We are near the end of the debt/credit super cycle. Ray Dalio made a video on youtube about it. Even steve keen has been warning of crisis regarding Australia's housing bubble.
Private sector credit creation. When people have trouble paying it back we gave recessions. This is why we have cycles. Also, when federal govt do not spend enough. Every time the US federal govt ran a balanced budget or a surplus it resulted in recession or depression.